Agriculture facing problems

Georgia is a agricultural country and a large portion of the population earn their living in the agricultural sector. Currently Georgian farmers have many serious problems. Increases in fuel prices, problems with purchasing fertilizer, the dilapidation of the water infrastructure, a deficit of appropriate machinery and problems with marketing the products all make life very difficult for people who have restricted incomes to begin with.

The situation has become very serious since the 2006 Russian embargo on Georgian agricultural products. Despite promises and attempts, a substitute market for Georgian wine was not found. The August war has further deteriorated the situation, especially in the regions close to the conflict zones, where fruit and vegetables and the wheat harvest were damaged.

Parliament suggests that certain measures should be taken urgently. MP Gia Tortladze has proposed that agricultural companies be exempt from tax in their first two years of functioning.